REAL
ESTATE LAW 2016
Ministry of Housing & Urban Poverty
Alleviation has notified 69 of the total 92 sections of the Act on Wednesday
this week bringing the Act into force from May 1,2016 culminating the eight
year long efforts in this regard. A proposal for a law for Real Estate was
first mooted at the National Conference of Housing Ministers of States and
Union Territories in January, 2009. As per the notification announcing the
commencement of the Act on May 1,2016, Rules under the Act have to be
formulated by the Central and State Governments within a maximum period of six
months i.e by October 31,2016 under Section 84 of the Act. Ministry of HUPA
would make Rules for Union Territories without legislatures while the
Ministry of Urban Development would do so for Delhi. Section 84 of the Act
stipulates that “The appropriate Government shall, within a period of six
months of the commencement of this Act, by notification, make rules for
carrying out the provisions of this Act.” Early setting up of Real Estate
Regulatory Authorities with whom all real estate projects have to be registered
and Appellate Tribunals for adjudication of disputes is the key for providing
early relief and protection to the large number of buyers of properties.
Section 20 of the Act says “The appropriate Government shall, within a period of
one year from the date of coming into force of this Act, by notification
establish an authority to be known as the Real Estate Regulatory Authority to
exercise the powers conferred on it and to perform the functions assigned to it
under this Act”. These Authorities decide on the complaints of buyers and
developers in 60 days time. Section 20 of this Act also empowers appropriate
Governments to designate any officer preferably Secretary of the Department
dealing with Housing, as the interim Regulatory Authority until the
establishment of Regulatory Authority under the provisions of the Act.
Regulatory Authorities, upon their constitution get three months time to
formulate regulations concerning their day to day functioning under
Section 85 of the Act. Likewise, under Section 43 of the Act, Real Estate
Appellate Tribunals shall be formed within a maximum period of one year i.e by
April 30,2017. These fast track Tribunals shall decide on the disputes over the
orders of Regulatory Authorities in 60 days time. Under the directions of the
Minister of Housing & Urban Poverty Alleviation Shri M.Venkaiah Naidu, a
Committee chaired by Secretary (HUPA) has already commenced work on formulation
of Model Rules under the Act for the benefit of States and UTs so that they
could come out with Rules in quick time besides ensuring uniformity across the
country. The Ministry will also will come out with Model Regulations for
Regulatory Authorities to save on time.
Read more at:
http://www.livelaw.in/real-estate-regulation-development-act-2016-comes-force-today/